Monte Carlo Simulation for a 3-way financial Excel model.

A full Monte Carlo Excel Simulation 3-way Financial Model with dashboards and Xero accounting data source with scenarios and dashboards

Original Best Practice:  Demo Financial Model (Xero integrated)  by Lance Rubin

Description
This is a fully integrated 3-way model to the cloud accounting package called Xero. The model has a simulation dashboard which allows users to set a range between which key assumptions can change or are likely to be.

There is a dropdown box to allow you to chose a particular scenario.

If there is a need to narrow the range simply insert changes to the assumption blocks within the range.

This model has been rebuilt leveraging some of the most cutting-edge and latest Excel formulas and functions. 

The model has Xero as a data source, but as it's a table and structured you can use it for any accounting system provided you get the data in the same headers (schema).

A Monte Carlo Simulation, also known as a probability simulation, is a type of process that is used for comprehending and analysing the risk and variables in a variety of things, including financials, project management and costs. It better aids decision-making, determining the possible results of certain decisions and the probability of returning these results.

This model contains a range of tabs, such as:

- Executive Summary 
- Simulation dashboard
- Annual Financial Statements Summary
- Scenario manager
- Sources and uses of funds
- Management report
- Monte Carlo simulation
- Scenario summary dashboard
- Focus on monthly financial statements window (12 months) 
- Combo dashboard


To find more tools and models from me, please refer to my channel page.

If you have any questions, do not hesitate to start a discussion below.

This Best Practice includes
1. Excel financial models (blank and populated) 2. PDF reports 3. Instructions

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Further information

To educate and create awareness of the power of Modern Excel and Xero cloud accounting to build completely customised simulation scenarios for various assumptions.

Predicting cashflow shortages and surpluses for a business.

Understanding valuation and what some of the key factors that can impact it.

Providing advice to a business on potential outcomes and for key decision making

For purposes other than those stated or described in the model.


5.0 / 5 (5 votes)

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